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FCA Business Plan & Strategy

Total questions: 22

Worksheet time: 11mins

Name
Class
Date
1.

The FCA strategy is designed to cover what time period

a)

1 year

b)

2 years

c)

3 years

d)

Not specified

2.

The strategy sets out three key areas where we are making commitments. Which of the following is not one of them?

a)

Reducing and preventing serious harm

b)

Setting and testing higher standards

c)

Reducing and preventing financial crime

d)

Promoting competition and positive change

3.

Under reducing and preventing serious harm, we make a number of commitments.  Which one below mentions our stronger authorisation gateway.

a)

Dealing with problem firm

b)

Improving the redress framework

c)

Reducing harm from firm failure

d)

Improving oversight of Appointed Representatives

e)

Reducing and preventing financial crime

4.

Under the setting and testing higher standards focus area, the strategy mentions the introduction of a new Consumer Duty. What does the Consumer Duty do?

a)

Makes sure firms always give customers access to the best rates/price

b)

Sets clearer and higher expectations for the standard of care firms gives customers

c)

Introduces an additional tax that customers pay on their financial products, with the proceeds being used to bolster FSCS

5.

Under promoting competition and positive change focus area we make three commitments. Which of these is NOT one of those commitments?

a)

Educating consumers to make better choices

b)

Preparing financial services for the future

c)

Strengthening the UK’s position in wholesale markets

d)

Shaping digital markets to achieve good outcomes

6.

The final section of the Strategy talks about our Operations, and includes details of how we are testing the limits of our own powers including through removing permissions from firms not using them. How many firms did we remove permissions from in 2021?

a)

6

b)

161

c)

239

d)

1364

7.

How may firms do we supervise?            

a)

65,000

b)

61,000

c)

55,000

d)

51,000

8.

How many firms do we prudentially supervise? 

a)

41,000

b)

49,000

c)

51,000

d)

59,000

9.

Where is the FCA planning to open a new office in 2022?             

a)

Leeds

b)

Manchester

c)

Belfast

d)

Liverpool

10.

What is the Annual Funding requirement (AFR) for 22/23             

a)

£501.4m

b)

£640.1m

c)

£601.4m

d)

£540.1m

11.

We aim to keep the proportion of firms with 'adverse' 'reasonable assurance' CASS audit opinions stable at below what % figure?             

a)

5%

b)

20%

c)

10%

d)

15%

12.

What main survey do we use to help us gauge consumer outcomes?        

a)

Financial Freedom survey

b)

Financial Lives survey

c)

Cost of Living survey

d)

Consumer Consumption survey

13.

The FRF will change the statutory and regulatory framework we operate in. What does FRF stand for?

a)

Future Regulatory Framework

b)

Financial Risk Framework

c)

Fundamental Risk Framework

d)

Financial Regulatory Framework

14.

The UK currently ranks in the top ___ of the New Financial global financial centres index. 

a)

15

b)

10

c)

3

d)

5

15.

The FCA is aiming to publish a joint paper with who(?) on artificial intelligence (AR) in financial services?

a)

UK Finance

b)

London Stock Exchange

c)

Bank of England

d)

HM Treasury

16.

Decision making on statutory notices has moved from our Regulatory Decisions Committee (RDC) to whom?

a)

Executive Procedures

b)

Regulatory Procedures

c)

Regulatory Approvals

d)

Executive Decisions

17.

When are we expecting to finalise rules and guidance on the proposed Consumer Duty?

a)

End of June 2022

b)

End of July 2022

c)

End of August 2022

d)

End of September 2022

18.

What is one of the three main focuses of the new FCA business plan?

a)

Maintaining current standards

b)

Reducing competition in high risk areas

c)

Reducing and preventing serious harm

d)

Identifying serious harm

19.

What Environmental Social and Governance (ESG) regime are we looking to implement to make it easier for consumers to understand ESG related products?             

a)

Disclosure regime

b)

Labelling regime

c)

Origination regime

d)

Locator regime

20.

The wider implications framework was launched in January 2022, through this the FCA works with regulatory partners to tackle common issues and provide greater certainty to consumers and firms. Alongside the FCA, what other organisation is a member of this group?

a)

Bank of England

b)

The Money and Pensions Service

c)

HM Treasury

d)

Trading Standards

21.

What regulatory activity does the business plan say we will undertake in order to support competition and innovation?

a)

Take a lighter touch approach to fintech firms at the gateway

b)

Level the playing field for firms that follow the rules by removing those that consistently don’t

c)

Close firms down in over-crowded sectors to make way for new entrants

d)

Reduce our application fees to encourage more new firm applications

22.

The business plan identifies stronger oversight by principals of ARs as being an outcome we want to achieve.  Which of these is not one of the key activities that will achieve this?

a)

Strengthen scrutiny at the regulatory gateway

b)

Consideration of policy interventions

c)

Improving the information on the FCA register

d)

By-pass the principal and undertake closer supervision of the ARs themselves